June 16, 2009

The amount of money spent on meat in UK has increased over the past year, despite the recession, according to latest figures.

Statistics showed that total consumer spending on fresh and frozen meat in the year-ended May 17, 2009, was GBP6.7 billion, up almost 9 percent on the same period in 2007-08.

While volumes sold were down across all meat categories, higher prices more than compensated - average beef prices were up 14 percent, lamb 10 percent and pork 11 percent year-on-year.

Economist Mark Topliff said previous recessions have shown that food sales held up pretty well and although volumes were down on 2007-08, it was quite a good year for meat sales due to the cold, wet summer.

Topliff said that it was expected to see some drop off in volume due to the recession, but overall volumes are about where they were at the start of 2007.

Pork sales proved most resilient, with expenditure up almost 9 percent and volume sales down just 1.8 percent, suggesting that some consumers had substituted beef and lamb with pork.

Spending on pork leg roasting joints and pork steak saw the greatest increases and now account for almost half of all household fresh and frozen pork expenditure.

Sales of beef and lamb roasting joints were down most, although cheaper cuts, such as beef mince were up 22 percent and second-quality stewing steak were up 18 percent. Spending on lamb mince and stewing cuts were up 22 percent and 11 percent respectively.

Topliff said that it is a pretty fine balance at the moment and have seen retail demand come back a bit, so has supply which along with the exchange rate, has helped keep prices up.